GB exam 1

Question 1

Expats often receive significant

Answer 1

international premiums

Question 2

MNEs from the Triad dominate the list of the 500 largest MNEs; their share has been

Answer 2

shrinking

Question 3

Which of the following countries is represented in the Triad of the global economy

Answer 3

japan

Question 4

Which of the following countries would be characterized as an emerging economy

Answer 4

brazil

Question 5

Which view of global business focuses on external factors that affect a firm’s performance?

Answer 5

Institution-based

Question 6

The strategy of treating each country as a unique market and in total isolation is referred to as _____.

Answer 6

localization

Question 7

Which of the following would be an example of a product undergoing a flow of reverse innovation in the global economy?

Answer 7

BoP economy to Triad nation

Question 8

Which of the following is true of globalization according to the “pendulum view” perspective?

Answer 8

Globalization is a not a one-directional phenomenon.

Question 9

Which view of global business suggests that the success and failure of firms are largely determined by their environments?

Answer 9

Institution-based

Question 10

The cushion of resources that allow an organization to adapt successfully to pressures is known by which of the following terms?

Answer 10

Organizational slack

Question 11

In which of the following ways do formal institutions regulate trade?

Answer 11

By imposing laws that make certain trades unacceptable

Question 12

Which pillar refers to the coercive power of governments

Answer 12

Regulatory

Question 13

The key role of institutions is to do what in business transactions?

Answer 13

Reduce uncertainty

Question 14

A fundamental aspect of what political system is that it effectively conducts global business by providing an individual the right to freedom of expression and organization?

Answer 14

Democracy

Question 15

Which of the following is a feature of right-wing totalitarianism?

Answer 15

it does not allow room for political freedom.

Question 16

What type of law refers to a legal system based on religious teachings?

Answer 16

Theocratic law

Question 17

Exclusive legal rights of firms to use specific names, brands, and designs to differentiate their products from others are _____.

Answer 17

trademarks

Question 18

Which of the following economies would be characterized as having a laissez faire policy?

Answer 18

Pure market economy

Question 19

For which of the following types of economies would the factors of production depend on the relative distribution of market forces versus command forces?

Answer 19

Mixed economy

Question 20

Which of the following is true of private ownership?

Answer 20

It tends to force firms into liquidation due to high competition.

Question 21

In a collectivist society, _____.

Answer 21

family units are highly valued

Question 22

What legislation enacted in 1977 bans U.S. firms from bribing non-U.S. officials?

Answer 22

Foreign Corrupt Practices Act

Question 23

Which of the following is the final phase of acquiring cultural intelligence?

Answer 23

Skills

Question 24

What did sociologist Max Weber criticize as a leading cause of Asian backwardness?

Answer 24

Confucianism

Question 25

Which of the following aspects of a culture would be categorized as an informal institution?

Answer 25

Ethics

Question 26

A firm that has adopted an accommodative strategy for ethical challenges in business _____.

Answer 26

accepts responsibility and does all that is required

Question 27

Which of the following is true of the GLOBE clusters?

Answer 27

It divides the nations of the world into ten clusters.

Question 28

What is the highest cultural grouping of people and the broadest level of cultural identity people have?

Answer 28

Civilization

Question 29

Which of the following is true of individualists and collectivists?

Answer 29

Collectivists are more opportunistic when dealing with out-group members.

Question 30

An American firm operating in the Middle East struggles with enforcing rules opposing sexual discrimination against Muslim women working in its management. Which of the following describes the American firm’s stand against enforcing local norms?

Answer 30

Ethical imperialism

Question 31

An original equipment manufacturer refers to a firm that _____.

Answer 31

executes design blueprints provided by other firms and manufactures such products

Question 32

Organizational culture is an example of what type of intangibles resources?

Answer 32

Human

Question 33

The resource-based view differs from the institution-based view in that the resource-based view focuses on a firm’s _____.

Answer 33

internal strengths and weaknesses

Question 34

Which of the following primary activities of a firm corresponds to its support activity of infrastructure?

Answer 34

Research and development

Question 35

According to the VRIO framework, a firm with an organized, valuable, rare, but imitable resources and capabilities will display what level of performance, at least for some period of time?

Answer 35

Above average

Question 36

Which of the following is an example of a firm’s physical resources and capabilities?

Answer 36

Access to raw materials and distribution channels

Question 37

What strategy includes setting up subsidiaries abroad so that the work done is in-house but the location is foreign?

Answer 37

Captive sourcing

Question 38

An original design manufacturer (ODM) differs from an original brand manufacturer (OBM) in that an ODM _____.

Answer 38

does not include marketing in its organizational boundary

Question 39

Which of the following is considered a tangible resource of a firm?

Answer 39

The copyrights that belong to a firm

Question 40

A firm that develops new products or ideas in foreign countries and then implementing them domestically is making use of what process?

Answer 40

Reverse innovation